It’s been a tough time for the cryptocurrency Worldcoin. Its price has been in a steep decline for months and shows no signs of stopping. There’s a good reason for this: serious concerns surrounding the underlying crypto project have led to it being suspended in multiple countries.
Worldcoin Drops 16% in a Week #
The Worldcoin cryptocurrency is in a bearish scenario. Over the past week, its price has dropped by 16%, and by 3% in the last 24 hours. Compared to a month ago, the price has fallen by as much as 32%.
At the time of writing, Worldcoin is trading at $0.59, placing it well below the downtrend line that has formed over recent months. It has been more than six months since Worldcoin was last valued at $0.59.
Worldcoin is the token of the decentralized project of the same name. The project’s goal is to improve the distinction between humans and bots online. Users receive a so-called World ID, which provides them with a digital identity obtained through an iris scan.
The Reason Behind Worldcoin’s Decline #
It’s no surprise that Worldcoin’s price is in a downtrend. While the project offers services globally, it has recently been banned by several countries.
For instance, Colombian authorities abruptly and permanently shut down Worldcoin’s operations last month. They also ordered the immediate deletion of all biometric data of Colombian citizens from Worldcoin’s systems.
According to Colombian authorities, Worldcoin violated national data protection laws. Users were allegedly enticed to provide their biometric data through financial rewards offered by Worldcoin. Furthermore, it was reportedly not made sufficiently clear to users what exactly happened to their data, and the consent was not fully informed.
This is not the first time concerns have been raised about the Worldcoin project. Currently, authorities in Brazil, among others, are investigating the project.